LUKoil Overseas and Syntroleum sign agreement

LUKoil Overseas Holding Ltd. and the US corporation Syntroleum International have signed an agreement on intentions for cooperating in the sphere of utilizing associated gas at LUKoil's oil fields in Russia, Kazakhstan and other countries, the companies said in a joint press release. LUKoil Overseas and Syntroleum International's affiliate Advanced Gas Technology Partners will carry out an economic assessment of processing associated gas at a number of oil fields.

Later the parties are going to create a joint venture on utilizing associated gas. The project envisages the construction of gas processing facilities in Verkhnekamye (the Perm region) and in Pechora (the Komi Republic). It is planned to process up to 25m cubic feet of associated gas per day.